Credit, technology adoption and collective action in Tanzania’s smallholder dairy sector

The study investigates the role of technology adoption and collective action in the demand for credit among dairy farmers in rural Tanzania. Using survey data from four districts in Tanga and Morogoro regions, the incidence of credit is found to be seven percent. Logit and tobit models based on a co...

Descripción completa

Detalles Bibliográficos
Autores principales: Twine, Edgar E., Rao, E.J.O., Baltenweck, Isabelle, Omore, Amos O.
Formato: Conference Paper
Lenguaje:Inglés
Publicado: 2015
Materias:
Acceso en línea:https://hdl.handle.net/10568/66123
_version_ 1855534899464765440
author Twine, Edgar E.
Rao, E.J.O.
Baltenweck, Isabelle
Omore, Amos O.
author_browse Baltenweck, Isabelle
Omore, Amos O.
Rao, E.J.O.
Twine, Edgar E.
author_facet Twine, Edgar E.
Rao, E.J.O.
Baltenweck, Isabelle
Omore, Amos O.
author_sort Twine, Edgar E.
collection Repository of Agricultural Research Outputs (CGSpace)
description The study investigates the role of technology adoption and collective action in the demand for credit among dairy farmers in rural Tanzania. Using survey data from four districts in Tanga and Morogoro regions, the incidence of credit is found to be seven percent. Logit and tobit models based on a conceptual framework that assumes endogenously determined interest rates and nonseparability of production and consumption credit, are applied to the data. Interest rates are found to be exogenous and statistically insignificant in the demand for credit. The logit model shows collective action to positively influence the decision to borrow, but technology adoption is insignificant. From the tobit model, both collective action and technology adoption positively influence the amount of funds borrowed. We use these results to examine the observed failure of rural savings and credit cooperative societies to lend to smallholder dairy farmers and livestock keepers in general in Tanzania.
format Conference Paper
id CGSpace66123
institution CGIAR Consortium
language Inglés
publishDate 2015
publishDateRange 2015
publishDateSort 2015
record_format dspace
spelling CGSpace661232023-02-15T10:23:00Z Credit, technology adoption and collective action in Tanzania’s smallholder dairy sector Twine, Edgar E. Rao, E.J.O. Baltenweck, Isabelle Omore, Amos O. livestock dairies The study investigates the role of technology adoption and collective action in the demand for credit among dairy farmers in rural Tanzania. Using survey data from four districts in Tanga and Morogoro regions, the incidence of credit is found to be seven percent. Logit and tobit models based on a conceptual framework that assumes endogenously determined interest rates and nonseparability of production and consumption credit, are applied to the data. Interest rates are found to be exogenous and statistically insignificant in the demand for credit. The logit model shows collective action to positively influence the decision to borrow, but technology adoption is insignificant. From the tobit model, both collective action and technology adoption positively influence the amount of funds borrowed. We use these results to examine the observed failure of rural savings and credit cooperative societies to lend to smallholder dairy farmers and livestock keepers in general in Tanzania. 2015 2015-05-17T13:15:33Z 2015-05-17T13:15:33Z Conference Paper https://hdl.handle.net/10568/66123 en Open Access Twine, E.E., Rao, E.J.O., Baltenweck, I. and Omore, A.O. 2015. Credit, technology adoption and collective action in Tanzania’s smallholder dairy sector. Paper presented at the Agricultural and Applied Economics Association and Western Agricultural Economics Association Annual Meeting, San Francisco, California, 26-28 July 2015
spellingShingle livestock
dairies
Twine, Edgar E.
Rao, E.J.O.
Baltenweck, Isabelle
Omore, Amos O.
Credit, technology adoption and collective action in Tanzania’s smallholder dairy sector
title Credit, technology adoption and collective action in Tanzania’s smallholder dairy sector
title_full Credit, technology adoption and collective action in Tanzania’s smallholder dairy sector
title_fullStr Credit, technology adoption and collective action in Tanzania’s smallholder dairy sector
title_full_unstemmed Credit, technology adoption and collective action in Tanzania’s smallholder dairy sector
title_short Credit, technology adoption and collective action in Tanzania’s smallholder dairy sector
title_sort credit technology adoption and collective action in tanzania s smallholder dairy sector
topic livestock
dairies
url https://hdl.handle.net/10568/66123
work_keys_str_mv AT twineedgare credittechnologyadoptionandcollectiveactionintanzaniassmallholderdairysector
AT raoejo credittechnologyadoptionandcollectiveactionintanzaniassmallholderdairysector
AT baltenweckisabelle credittechnologyadoptionandcollectiveactionintanzaniassmallholderdairysector
AT omoreamoso credittechnologyadoptionandcollectiveactionintanzaniassmallholderdairysector